The USD Closes the Week Strong...

The USD closes the week headed for its biggest weekly gain in nearly two months vs. the majors as many in the market believe the Fed is moving toward higher interest rates faster than previously expected. The Ukraine situation was somewhat quiet o/n despite Russian President Putin formally approving legislation approving the annexation of Crimea and the EU signing a political pact with Ukraine. CAD is a bit stronger this morning (off yesterday’s four and half year low) after stronger-than-expected retail sales report (fastest pace in eight months) and a positive CPI number. Fed Presidents Fisher and Bullard will speak about interest-rate guidance today. China’s yuan posted a record weekly decline this week as the central bank (PBoC) cut the currency’s reference rate (6.2250) and on elevated concerns over economic growth.

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The USD closes the week headed for its biggest weekly gain in nearly two months vs. the majors as many in the market believe the Fed is moving toward higher interest rates faster than previously expected. The Ukraine situation was somewhat quiet o/n despite Russian President Putin formally approving legislation approving the annexation of Crimea and the EU signing a political pact with Ukraine. CAD is a bit stronger this morning (off yesterday’s four and half year low) after stronger-than-expected retail sales report (fastest pace in eight months) and a positive CPI number. Fed Presidents Fisher and Bullard will speak about interest-rate guidance today. China’s yuan posted a record weekly decline this week as the central bank (PBoC) cut the currency’s reference rate (6.2250) and on elevated concerns over economic growth.